Sunday, January 12, 2014

Telstra will sell a 70% stake in its directories business, Sensis to Platinum Equity for A$454 million (US$408 million).

The sale excludes the voice services business and includes economic benefits to Telstra from services it will continue to provide to Sensis. Telstra will retain a 30% shareholding with Sensis now valued at A$649 million.

Telstra said the transaction price is equal to a multiple of 2.4 times Sensis’ FY14 forecast EBITDA after adjusting for the voice directories business (which is being retained by Telstra) and stand alone costs of operating the business.

“We have spent the last two years enhancing our print directories business with a rich set of digital directory offerings. Sensis is now the leading digital marketing services and directories business in Australia. To drive further momentum, we believe it is the appropriate time to introduce Platinum Equity, as a strategic partner,” said David Thodey, CEO of Telstra.